Total Fixed Cost Is the Cost of

question 251

Multiple Choice

Total fixed cost is the cost of

• A) labor.
• B) production.
• C) a firm's fixed factors of production.
• D) only implicit factors of production.
• E) only explicit factors of production.

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Definitions:

Dividend Payout Ratio

A financial metric that shows the portion of a company's earnings paid out to shareholders as dividends.

Return on Assets

A financial ratio indicating how effectively a company is using its assets to generate profit.

Earnings Per Share

Earnings per share (EPS) is a financial metric that divides a company's profit available to common shareholders by the average outstanding shares, indicating the amount of money shareholders would receive for each share owned if all profits were distributed.

Earnings Per Share

A financial ratio that measures the amount of net income earned per share of stock outstanding.